PE Tech Report


Like this article?

Sign up to our free newsletter

Energy Capital Partners to invest up to USD500m in Next Wave Energy Partner

Energy Capital Partners (ECP), a private equity firm focused on investing in North America’s energy infrastructure, has made an investment in Next Wave Energy Partners providing up to USD500 million in equity capital to focus on the development, operation, acquisition and expansion of midstream and downstream petrochemical and fuels assets. 

ECP is joined by members of Next Wave’s senior management in the investment. Next Wave’s core capabilities include customised toll processing, manufacturing and logistics solutions for natural gas liquids, petrochemicals and gasoline blending components. The company, which is focused on opportunities in the United States and Canada, expects to utilise ECP’s funding to pursue greenfield development projects and potential acquisitions.

Next Wave is led by its four founders: Patrick Diamond, executive chairman; Michael Bloesch, president and chief executive officer; Dan Fahey, vice president of engineering and technology; and Sean Diamond, vice president of operations and commercial. The Next Wave management team has nearly nine decades of collective energy industry experience with a focus on midstream, petrochemical and fuels value chains.

“We are excited to announce our partnership with ECP and look forward to working together to build a company that is well-positioned to capitalise on the opportunities created by the changes in the North American energy landscape,” says Patrick Diamond, executive chairman of Next Wave. “ECP’s financial strength and depth of industry expertise provide Next Wave with a powerful platform.”

Scott Rogan, principal at ECP, says: “ECP is thrilled to partner with such an outstanding management team which brings an extensive track record of success in both the midstream and downstream sectors of the energy industry. We believe the Next Wave team possesses the experience and expertise necessary to provide its customers with attractive solutions that address the challenges and opportunities resulting from the secondary and tertiary effects of the shale-driven hydrocarbon revolution. ECP is confident in Next Wave’s ability to execute its business plan and looks forward to supporting the company’s future growth.”

“The renaissance in North American hydrocarbon production has had a ripple effect on the energy industry, creating waves of opportunity further down the value chain,” says Next Wave Executive Chairman Patrick Diamond. “The outlook for abundant and reasonably priced NGL volumes in North America provides an opportunity for U.S. companies to use these products and their derivatives in value-added ways that compete with or complement the export market. Changing crude oil quality profiles and refinery product slates create additional complexities that ripple across the system and add to the opportunity set.”

“These developments are altering the traditional relationships between natural gas liquids, petrochemicals and fuels, driving value chains to become increasingly intertwined,” says Next Wave President and CEO Michael Bloesch. “Next Wave will capitalise on these changing market dynamics to create value for our customers by optimising their value chains and further developing markets for their products; thus, we are focused on building strong, collaborative and long-term relationships with our customers. Our team has a proven track record of project conception, development and execution, as well as the technical expertise and experience necessary to successfully design and safely and reliably operate midstream and downstream assets.”

Like this article? Sign up to our free newsletter